What's Apple's next big iPhone surprise?

Apple Inc. is still planning to introduce a glass-centric redesign of the iPhone to mark the device's 20th anniversary, according to sources familiar with the matter, despite an analyst report suggesting the project had been abandoned. The company anticipates launching iPhone Pro models next year that will feature a new glassy look on the front and back, internally referred to as V73 and V74, with a curved design on the sides and a metal band in the middle.

An earlier, more extravagant design proposed by Apple's design studio utilized glass more extensively instead of metal but was abandoned due to challenges in connecting the glass panels during large-scale production.

Apple has been striving to create an eye-catching new look for its flagship product, which debuted in 2007. While the aspiration for an uninterrupted glass iPhone has proven difficult to implement, the company remains committed to unveiling an evolution of the original concept next year.

This information contradicts a report this week from Jefferies’ Edison Lee, who claimed that the all-glass iPhone was canceled due to supply chain checks. Lee also downgraded Apple shares, asserting that the move would impede efforts to offer more expensive smartphones. Apple's share price declined by as much as 2.8% in New York on Monday.

Typically, new iPhone designs are finalized about a year before the product's annual debut in the fall, indicating that the plans for 2027 are already in advanced testing and largely finalized, barring any unforeseen obstacles. The iPhone remains Apple's biggest revenue generator, making up roughly half of the company's revenue. Recently, iPhone sales have outpaced the rest of Apple's business, with sales increasing by 22% in the last quarter.

Apple aims to maintain this momentum with upcoming iPhone updates next month, which include a foldable version set to be the most significant single change in the product's appearance. The company will also reveal iPhone 18 Pro and Pro Max models with significant camera enhancements and an upcoming dark red color option to generate buzz.

In the spring, Apple will release the base-level iPhone 18, an update to the lower-budget 18e model, and the second-generation iPhone Air, which will feature a second camera, a better processor, and increased battery life.

In addition to the iPhone, Apple is developing smart glasses, camera-equipped AirPods, and other AI-centric wearables and home devices. This extensive product pipeline is expected to provide a boost to Apple's new Chief Executive Officer, John Ternus, who is set to assume the role on September 1.